Answer the question based on the following information: Suppose 10 units of product A can be produced by employing just labor and capital in the four ways shown below. Assume the prices of labor and capital are $2 and $3, respectively. If the price of product A is $1.00, and the firm is producing efficiently the firm will realize
A)Economic profit of $10.
B)Economic profit of $23.
C)Economic loss of $13.
D)Economic loss of $3.
E)Economic profit of $3.

Question

Answer the question based on the following information: Suppose 10 units of product A can be produced by employing just labor and capital in the four ways shown below. Assume the prices of labor and capital are $2 and $3, respectively.  If the price of product A is $1.00, and the firm is producing efficiently the firm will realize
A)Economic profit of $10. 
B)Economic profit of $23. 
C)Economic loss of $13. 
D)Economic loss of $3. 
E)Economic profit of $3.

Quizplus · Accepted Answer

The Answer of Answer the question based on the following information: Suppose 10 units of product A can be produced by employing just labor and capital in the four ways shown below. Assume the prices of labor and capital are $2 and $3, respectively.  If the price of product A is $1.00, and the firm is producing efficiently the firm will realize
A)Economic profit of $10. 
B)Economic profit of $23. 
C)Economic loss of $13. 
D)Economic loss of $3. 
E)Economic profit of $3.

Answer the Question Based on the Following Information: Suppose 10